Risk Management Analysis and Reset Strategy of High-risk Financial Derivatives - A Case Study of Tsingshan Nickel Incident

Yulin Liu; Yuzhe Sun; Jiacheng Wang; Songping Li; Yihang Yao

doi:10.2991/978-94-6463-098-5_77

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Risk Management Analysis and Reset Strategy of High-risk Financial Derivatives - A Case Study of Tsingshan Nickel Incident

Authors

Yulin Liu¹^{, *}, Yuzhe Sun², Jiacheng Wang³, Songping Li⁴, Yihang Yao⁵

¹College of Finance and Economics, Zhuhai College of Science and Technology, Zhuhai, 518055, China

²Shanghai Yue Kong Pao School, Shanghai, 200090, China

³Art and Science, University of Saskatchewan, Saskatoon, S7N5A2, Canada

⁴St’Anthony High school, New York, 11747, United States

⁵LAS, University of Illinois Urbana-champaign, Champaign, 61820, United States

^*Corresponding author. Email: evelyn.yulin.liu@gmail.com

Corresponding Author

Yulin Liu

Available Online 27 December 2022.

DOI: 10.2991/978-94-6463-098-5_77 How to use a DOI?
Keywords: Nickel; Futures Risk; Reset Strategy; Broker; Market-Maker
Abstract: In this event, Tsingshan's 200000 short orders suffered huge losses due to the sudden sharp rise of nickel price. Therefore, this paper analyzes the current situation of this event and uses the futures fundamental risk analysis method to study the relevant risks of the nickel futures that Tsingshan bought at this time, as well as the role of traders and brokers and risk exposure analysis. Finally, it is suggested that Tsingshan needs to have a good investment strategy when making orders, and Establish a complete risk management system and implement dynamic management of investment risks, so that financial derivatives can better promote investment.
Open Access: Open Access This chapter is licensed under the terms of the Creative Commons Attribution-NonCommercial 4.0 International License (http://creativecommons.org/licenses/by-nc/4.0/), which permits any noncommercial use, sharing, adaptation, distribution and reproduction in any medium or format, as long as you give appropriate credit to the original author(s) and the source, provide a link to the Creative Commons license and indicate if changes were made.

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Volume Title: Proceedings of the 2022 4th International Conference on Economic Management and Cultural Industry (ICEMCI 2022)
Series: Advances in Economics, Business and Management Research
Publication Date: 27 December 2022
ISBN: 10.2991/978-94-6463-098-5_77
ISSN: 2352-5428
DOI: 10.2991/978-94-6463-098-5_77 How to use a DOI?
Open Access: Open Access This chapter is licensed under the terms of the Creative Commons Attribution-NonCommercial 4.0 International License (http://creativecommons.org/licenses/by-nc/4.0/), which permits any noncommercial use, sharing, adaptation, distribution and reproduction in any medium or format, as long as you give appropriate credit to the original author(s) and the source, provide a link to the Creative Commons license and indicate if changes were made.

Cite this article

ris enw bib

TY  - CONF
AU  - Yulin Liu
AU  - Yuzhe Sun
AU  - Jiacheng Wang
AU  - Songping Li
AU  - Yihang Yao
PY  - 2022
DA  - 2022/12/27
TI  - Risk Management Analysis and Reset Strategy of High-risk Financial Derivatives - A Case Study of Tsingshan Nickel Incident
BT  - Proceedings of the 2022 4th International Conference on Economic Management and Cultural Industry (ICEMCI 2022)
PB  - Atlantis Press
SP  - 672
EP  - 685
SN  - 2352-5428
UR  - https://doi.org/10.2991/978-94-6463-098-5_77
DO  - 10.2991/978-94-6463-098-5_77
ID  - Liu2022
ER  -

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